Investors who dream of owning a Ferrari could soon have the next best thing: shares in the Italian luxury car maker. Fiat Chrysler (IT:FCA) is on track to list shares in Ferrari on the US market later this year. Our chart shows the brand's net revenue, pre-tax profits and net profit for the past three years.
Ferrari kept up the pace in the first lap of 2015: although sales were flat, pre-tax profit rose 23 per cent to €98m (£69m). However, lower demand in Europe and the Middle East meant overall car shipments drifted 6 per cent to 1,635 (Ferrari shipped 7,255 cars in 2014).
Management shared the keys to its success. For instance, it limits annual production to around 7,000 vehicles to maintain an air of exclusivity and brand cachet, meaning buyers must wait around a year to receive their cars. The payoff is an impassioned customer base: 60 per cent of Ferraris are sold to existing Ferrari owners, and around a third of its customers own at least two of the cars. Management also highlighted Formula 1 as a key element of the brand's marketing, warning that continued poor performance from its acing team could dent perception of the brand and consumers' enthusiasm.
